CROP Infrastructure Corp. (CSE:CROP) is acquiring a 49% member interest in a Nye County agricultural property. The Nye County agricultural property, in central Nevada, was selected for its temperate climate, which is ideal for both greenhouse and outdoor growing.

Additional Information:

Video Transcript:

I’m Erica James for Investmentpitch Media

CROP Infrastructure Corp. (CSE:CROP) is acquiring a 49% member interest in a Nye County agricultural property. The Nye County agricultural property, in central Nevada, was selected for its temperate climate, which is ideal for both greenhouse and outdoor growing.

CROP has paid Elite Ventures LLC, of Nevada, US$600,000 of the US$1.3 million purchase price.

The property totals more than 315 acres and includes 300 acres of private water rights, with 240 acres under automatic irrigation pivots, with automatic fertilizer injection systems installed.

Once licensed for cannabis, the pivots would be seeded with feminized auto flowering seeds for both THC and CBD crops.

Hemp cultivation and production has been allowed in Nevada since 2016 and does not require hemp processing licenses.

The property will have 50 acres set aside for building cannabis specific greenhouses.

The first phase of the project development is expected to cost about US$700,000 to seed the 240 acres with the automatic watering pivots.

The company’s tenant has arranged for a contractor to clear 1 pivot of 120 acres and begin tilling the area, at a cost of US$16,920.

The company anticipates the planting of approximately 900,000 high CBD strain seeds to take place prior to July 15th at a cost of US$90,000 and expects an early fall harvest.

The genetics selected will have a THC content of less than 0.3% and a CBD content of more than 15%.

It is estimated that this initial 120-acre pivot will yield 120,000 pounds of flower.

It is expected the water, labor and fertilizer cost for this crop should not exceed $60,000.

The company’s cultivation infrastructure consultant believes the pivots would allow for three turns per year that would supply an abundant feedstock for the creation of both CBD and THC distillates.

Based on a survey of Nevada hemp growers, the Marijuana Business Daily reported the following approximate US dollar pricing for hemp products:

• $200 or more per pound for flower, depending on CBD content and quality
• $10 per pound of food-grade seed
• $45 per gallon for seed oil
• $200 per ton of baled fiber
• $10,000 per kilogram of CBD isolate

Michael Yorke, CEO, stated: “We are extremely pleased with how quickly our team and tenant have worked together to advance this project. From internal study to commencing production, they have done a great job. With cannabis infrastructure in Italy, California and Washington, CROP is expanding its footprint and operations in some of the largest legal markets throughout the US and beyond.”

CROP Infrastructure is engaged in the business of investing, constructing, owning and leasing greenhouse projects.